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PricewaterhouseCoopers reports 12% growth in UK turnover as management consulting revenues gain momentum
 
 Strong growth in its
Assurance business has
lifted
PricewaterhouseCoopers'
UK turnover by nearly
£200m, with the firm
also reporting a 28%
increase in revenues
from its management
consulting division.
   PwC, Britain's
largest accounting firm,
reported a turnover of
£1.78bn for the
financial year to 30
June 2005, up 12% from
last year. Average
profit per partner was
up 17% to £620,000.
 
    Strong growth in the
Assurance business of
18% was generated in
particular by advice on
International Financial
Reporting Standards and
Sarbanes-Oxley amounting
to approximately £100m.
Tax returned to healthy
growth of 8% due to a
strong focus on its
chosen markets, an
improved economy and a
more settled regulatory
environment.
   "In a buoyant
marketplace we performed
strongly across the
board," said Kieran
 
 Poynter, the Chairman of
PwC. "IFRS and
Sarbanes-Oxley dominated
the reporting and
regulatory landscape for
many of our clients and
gave rise to a surge of
growth for our Assurance
business, though this is
unlikely to be
repeated."
   Advisory, up 9%,
enjoyed significant
gains, in particular
within Performance
Improvement Consulting,
which saw a 28% rise in
turnover, offset by a 6%
decline in Business
 
 Recovery Services,
reflecting the benign UK
economy and counter
cyclical nature of that
business.
   "It was also good to
see our Performance
Improvement Consulting
advisory services
benefiting from
increased market
awareness, a wide range
of project wins and the
continued recruitment
and development of high
quality, specialist
partners and staff,"
said Poynter.
   "Just under half the
 
 firm's turnover
continues to come from
non-audit clients," he
added.
   The Performance
Improvement Consulting
division, with annual
revenues which now
exceed £100m, has been
rebuilt since PwC sold
its previous consulting
arm to IBM in 2002.
According to Poynter,
unlike the old business,
the consulting division
won't be returning to IT
implementation.
 
 
Top executives "left in the dark" on technology risks and opportunities, according to a new report by the Economist Intelligence Unit
 
 Only four out of ten
companies regularly
brief the board on
emerging technology
opportunities and
threats, according to a
global survey of 127
senior executives
conducted by the
Economist Intelligence
Unit, and sponsored by
Dimension Data and
Oracle.
   The research also
shows that only half of
companies regularly
monitor emerging
electronic security
threats such as phishing
and the risk of data
 
 leaks.
   The survey, published
today in an Economist
Intelligence Unit report
called Staying ahead of
the technology curve
,
sheds light on how
effective companies are
at identifying and
exploiting emerging
technologies.
   The findings show
that most executives are
keen to use technology
to help their companies
to achieve a competitive
edge, with 40% of
respondents describing
their firms as "early
adopters" of technology.
 
  
   
 
 
 
 
 
 
 
 
 
 
 
 
 new technology on their
business.
   However, in other
areas the survey reveals
important gaps in the
way many companies
attempt to identify and
capitalise on emerging
technology.
   Only 52% of companies
regularly keep track of
competitors' technology
initiatives, and only
55% monitor emerging IT
infrastructure risks
(such as exposure to
systems downtime or
failures). While 63% of
companies analyse the
potential impact of new
 
 technology on their
business, only 44%
measure the value of
technology once it is
implemented.
   The failure of almost
half of companies to
manage emerging cyber
threats or
vulnerabilities in their
IT systems is
particularly surprising,
given that executives
rate exposure to systems
failure or digital
security breaches as the
area where advances in
technologies pose the
greatest threat.
 
    The majority of
companies (73%) also say
they have people
monitoring the emergence
of new technologies, and
63% regularly analyse
the potential impact of
 
 
Axon up on strong UK performance
 
 Axon Group plc has
reported a 51% increase
in turnover for the
first half of the year,
helped by a "buoyant
demand" for its services
in the Public Sector,
Utilities and Oil and
Gas.
   For the six-month
period to 30 June 2005,
turnover increased 51%
to £40.4m and profit
before tax increased 30%
to £3.5m.
   "These results have
been driven by the
relentless execution of
 
 our strategy, namely to
become a leader in the
delivery of Business
Transformation
programmes for large
organisations that use
SAP as their strategic
platform," said Mark
Hunter, Chairman and
Chief Executive.
   The UK continues to
be the growth engine of
the business, as the
group secured new
business with
organisations such as
BP, Manchester City
Council, Vodafone and
 
 are preferred at London
Borough of Harrow with
the Capita partnership.
   Axon continues to
expand its international
footprint. During the
first half of 2005, it
delivered customer
solutions in 29
countries across the
globe. Revenues from
international business
for the term increased
by 36% to £9.8m (H1
2004: £7.2m).
   In April 2005 Axon
acquired Feanix
Corporation, a leading
 
 provider of SAP
consulting services to
the US Aerospace and
Defence Industry. The
company said the
integration of Feanix
has been completed ahead
of schedule and the
business is now winning
contracts and has a
significant pipeline of
major opportunities.
   Axon said it
anticipates an
improvement in margins
over the coming period,
as relative
profitability for the
 
 term fell due to the
impacts of wage
inflation, the build up
of cost contingency for
two major client
projects and increased
business development
investment.
   Axon has a positive
outlook for the rest of
the year and beyond. The
company said it has a
strong orderbook and a
pipeline of major deals
that it's seeking to
win.
  
 
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